Tata Chemicals: Retention price reduction hits bottomline - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  
  • Home
  • Outlook Arena
  • Jul 28, 2000 - Tata Chemicals: Retention price reduction hits bottomline

Tata Chemicals: Retention price reduction hits bottomline

Jul 28, 2000

The reduction in the retention price of urea by Rs 463 per tonne by the government has hit Tata Chemicals' bottomline by Rs 82.9 m. Besides, the margins on soda ash have also been under pressure due to dumping by China. These are the main factors for the loss reported by the company in the first quarter of the current year.

(Rs m)1QFY001QFY01Change
Sales 2,747 3,252 18.4%
Other Income 21 14 -35.2%
Expenditure 1,932 2,503 29.6%
Operating Profit (EBDIT) 816 749 -8.2%
Operating Profit Margin (%)29.7%23.0% 
Interest 474 470  
Depreciation 297 335 12.8%
Profit before Tax66-42-164.0%
Other Adjustments 4 
Tax   
Profit after Tax/(Loss) 66 (38)-157.3%
Net profit margin (%)2.4%-1.3% 
No. of Shares (m) (eoy)180.7180.7 
Diluted no. of shares (m)180.7180.7 
Diluted Earnings per share*1.5-0.8 
*(annualised)   

In the current year the company proposes to merge its subsidiary Sabras Investment and Trading Company with Tata Chemicals. Sabras holds shares in quite a few Indian companies including Tata group companies such as Indian Hotels, Telco, Tata Tea, Tata Industries and Rallis. The first quarter profits of Sabras were Rs 1143.3 m, which have not been accounted for in Tata Chem's books.

The stock currently quotes at Rs 38. While soda ash margins would improve somewhat due to the anti–dumping duty imposed on Chinese imports, the economics in the fertliser business are unlikely to change in the current year.

Equitymaster requests your view! Post a comment on "Tata Chemicals: Retention price reduction hits bottomline". Click here!

  

More Views on News

TATA CHEMICALS 2020-21 Annual Report Analysis (Annual Result Update)

Sep 6, 2021 | Updated on Sep 6, 2021

Here's an analysis of the annual report of TATA CHEMICALS for 2020-21. It includes a full income statement, balance sheet and cash flow analysis of TATA CHEMICALS. Also includes updates on the valuation of TATA CHEMICALS.

TATA CHEMICALS Announces Quarterly Results (1QFY22); Net Profit Up 289.5% (Quarterly Result Update)

Aug 9, 2021 | Updated on Aug 9, 2021

For the quarter ended June 2021, TATA CHEMICALS has posted a net profit of Rs 3 bn (up 289.5% YoY). Sales on the other hand came in at Rs 30 bn (up 26.8% YoY). Read on for a complete analysis of TATA CHEMICALS's quarterly results.

Tata Chemicals Shares Tumble Over 8% After Q4 Earnings (Views On News)

May 4, 2021

Key takeaways from Tata Chemicals Q4FY21 results.

5 Stocks to Watch Out for Amid the Omicron Outbreak (Views On News)

Dec 3, 2021

As the new variant of Covid-19 emerges, keep an eye on these stocks.

This Stock Just Made a Historical Debut on the Exchanges (Views On News)

Nov 15, 2021

Shares of the company listed at premium of 253% from its IPO price, the highest ever.

More Views on News

Most Popular

Infosys vs TCS: Which is Better? (Views On News)

Nov 26, 2021

In the post pandemic era, the top two IT companies in India are fighting to capture the growing demand for IT.

This Multibagger Stock Zooms 20% After Dolly Khanna Buys Stake (Views On News)

Nov 24, 2021

Shares of this edible oil company zoomed over 50% in three days after ace investor bought around 1% stake.

6 Popular Stocks that Turned into Penny Stocks (Views On News)

Nov 27, 2021

A look at popular stocks that crashed big time and never recovered, i.e. which went from 'Multibaggers to Multibeggers'.

MobiKwik IPO Opens for Subscription Soon. Key Things to Know Before Subscribing. (Views On News)

Nov 20, 2021

The Rs 19 bn issue is set to hit the market soon.

5 Indian Companies Embracing Blockchain Technology (Views On News)

Nov 23, 2021

Blockchain adoption in India was slow in the past. Now, the technology is being well received.

More

Become A Smarter Investor
In Just 5 Minutes

Multibagger Stock Guide 2022
Get our special report Multibagger Stocks Guide (2022 Edition) Now!
We will never sell or rent your email id.
Please read our Terms

TATA CHEMICALS SHARE PRICE


Dec 3, 2021 (Close)

TRACK TATA CHEMICALS

  • Track your investment in TATA CHEMICALS with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

MORE ON TATA CHEMICALS

TATA CHEMICALS 5-YR ANALYSIS

COMPARE TATA CHEMICALS WITH

MARKET STATS